tv Squawk on the Street CNBC November 1, 2012 9:00am-12:00pm EDT
al. welcome to "squawk on the street." >> we go straight to jim cramer with details. >> malawi is not going to retire. the board has said, we are committed to down lolly to at least 24.14. i don't think he's going anywhere. he's going to be promoted to chief operating officer. they have to rationalize europe, rationalize asia obviously and i think this is big news because i think a lot of people felt that
allen had finished job one. >> i think that the key here is promoting the mark field, he or she is saying on the concern is that the likely successor would leave and find another success. it's important also to shareholders to -- >> this is one of those where obviously mark had a tremendous reputation with what he's done in north america. the man, he's now going to be in charge of lincoln. they're talking about a tremendous decline. they're talking about this cold war between japan and china.
gm had a good quarter too. gm is behind them in terms of this raushlization. obviously europe is just a disastrous report. latin america pretty good, asia had a swing. the most important thing is that he cannot leave until he gets through the problem. >> is it not good or bad that mallalay stays? so i'm good would it have been a bigger picture in europe of european ford if steel took over before rather than later. >> my feeling has always been you own the fords of the world is that they have always had huge cash awards. >> the announcement is out, they have promoted a number, a series of people. joe henriks, president of the
americas, even know dell, most, a number of different things including the promotion of fields. >> asia, africa is the rangernd a the ranger is selling very well. >> it's a big story, you got it here first. >> all right, a lot of people did. of course not the only story out this morning. if you do want to get the latest out of the recovery, sandy, remain without power in the storm region. some areas likely to be without -- some of you in the ameri mta as a -- we're getting word from coned, the utility here in manhattan, tre to have
electricity restored to the island of manhattan. >> not only that people are using cars more and more to get around because of the public transport limit people with generators need gas line to run them. >> wait until you hear the one on the distraught. i'm going to cancel. it just seems like a bad idea in terms of you drink a little too much. i'm not a big gasoline and fiber. >> and monster drinks are about as far as i'm willing to go on that front, as far as box drinks. >> there's an awful lot of cane in new orleans. >> jim just broke, for a minute it was exclusive. phil jones us talking about mall
mali staying at ford. >> we're listening to the conference call where mallalay and -- one thing to keep in mind that's very important is that he did not want to just lead ford because this is a company that has a long and really a bad track record when it comes to ceo succession. he looks at his tenure, the beginning fixing the company, the middle running it as it is now. and then the transition into the next ceo. and that's really the best way to look at this. he wants to make sure that that transition is a smooth transition. he doesn't want to make it wh-- ceo being pushed out the door and then the next ceo comes in, and then they have never had steady performance over a long
period of time. that's the important thing to keep in mind, when you look at these promotions will be the company of the leadership structure. >> it has such a charmed run at bowing. makering a better use of but on a global basis, they have a long way to go. and he looks at the job and says we're nowhere close to where he needs to be.
>> we think fields has got it. there's no doubt that other automakers and other manufacturers at some point have either made intimations behind the scenes to mark fields or hey would you work forever. would you run our companies, i know there are other automakers that would address that to mark fields, he is loyal to the ford company, but at some point, like any executive, am i going to be the guy who's going to run the shop at this point? i think that's enough for him to say okay, i can really start to put my fingerprint on this company. if you have listened to any of the conference calls in the last six months, rarely do you hear him talk on the ford restructuring. he
he. >> the numbers have been pointing that way very recently. there's a number of naysayers who don't believe a lot of nubs, but they do believe in consumption. that's electricity. the first number above 50 in three months an the new orders component for the first time above 50 in half of a year, we were looking for more sign of stability, jim, that at least things had flattened out. >> what i understand is that there was a contingent, is at the highest level in china. we have got to slam on the brakes. there's largely academics.
>> on the back of the pmis, we saw the shanghai back, we have also had a number of firms out there becoming more positive on china. maryland earlier this week raised gps for 2012, 2013 they like shanghai eight shares, the overweight banks energy real estate as well as information technology, they're pounding the tables here, but the question is, do better economic numbers mean that investors can go in and invest? >> i think that the classic
ones, joy global, i think does make sense, i like the upgrade this morning. the caterpillar deeply inclined. china not coming back, maybe they're so concerned about caterpillar that they're saying it's not coming back that fast. >> we got adp stateside, jim, as well as the estimate. a big revision, they change d d. >> i thought the paychecks were two that really looked like numbers. and so i'm willing to say that
this -- it makes so much more sense, but i keep trying to say what industry is doing the hiring in terms of construction. bigger size, small business, but construction yes, balanced against what i regard seeing is uncertainty in the banking industry, where they lay off, government sees more- >> we have ceos sit over here, what you're going to do with the money, or how many people you're going to hire, it's not tens of thousands, but it's something. and they're high paying jobs. ford hired some people. it really is amazing when the u.s. is screwing up in europe. >> honda's spending 200 million to make some transmission plans in ohio, they're trying to make north america their main base for manufacturing. >> talk about japanese companies, though. >> panasonic.
>> panasonic has a $12 million write off. >> it has to be sharp, sharp, sharp. and they have concerns about their ability to operate as a going concern. they're looking at investments from on high. the china protests are going to work out. >> this is as much as a stiff today, it's a 30-year low. >> these are huge companies, the vhs, beta max work. that's a good point actually. >> these are all the leaders. these were all the leaders that you think about. >> i remember when there was a period in 1998 and 1999 it was a question of who was going to rule the world, panasonic or sony.
>> look, we were talking about japan, we'll see whether that proves to be correct. >> now they're nothing, now they're no wrrks now they're dinosaurs. >> we're not saying that apple's going to be sharp. if you think about what you know from the past-- >> is japan off the grid, you knew from fukushima that they are off the grid. you just have to question. this was a great power. to become the largest stock market in the world, tokyo. but tokyo turned out to be the ultimate. >> there still may be people like my friend kyle bass, they're still potentially a lot worse to come if you have an
agent population not nearly -- they haven't in any way, shape or form. and they still have the bank of japan loosening, in terms of money supply. >> we'll talk to dell after the break. and after the sandy shutdown, the nyc gets to a short day on wall street. what can we expect from the second day of the week. we'll get a second day of the week. we'll meet the ceo of a company that plays a big role in disaster recovery. one more look at futures, nine big data points throughout the morning. we still got to get through auto sales. we'll get to all of that when "squawk on the street" gets back to post-nine in a moment.
the city l have power restored to the nysd perhaps as soon as tomorrow. that means that the nyse can go off the backup generate fors because so far the backups have worked beautifully. >> i had no problems in the morning, they had conduct tift to customers, a lot of my customers had to go remotely to other places to get their business up and running, but the floor is working fine, we didn't have cell phone service in the morning, but customers were able to go into the floor. >> self service we had late yesterday afternoon. >> still don't have internet, actually internet service is important to a number of people there. hot spottings in the new york floor. >> it's not, that really hasn't affected it that much, we were
able to get orders from customers. as a broker that's the most important. >> yesterday it was obviously a lot of pent up business from over the weekend, the two days that were closed. but i had a regular, i had this volume. >> it's getting better every day here. >> the nightcap tall generator issue. that's fully resolved right? >> late yesterday the backup generators came on. >> last night on "mad money," cramer fills you in on last year's economic impact. mad dash is next. later, gasoline lines adding to the frustration over sandy, how long will it take to resolve this problem? take a look at futures as we head to the opening day. dow can add about 13 points, plus more "squawk on the street" straight ahead. a tall order. up your game. up the ante.
at the barkley stadium, the buss are stationed to get into manhattan. incredible lines around the block, huge frustration as new yorkers try to get into the city to get to work. >> at 5:30 in brooklyn, the early bird completed that shot. >> there's a lot of things to do at work, main leretailers. some big misses. >> i think nordstroms, 9.8%. that's that high end still
spending, coal, a remarkable number, 1.1 was expected, that is a stock that was very much on the move. >> on cole's no longer going to give -- >> coals has decided to get out of the hedge fund business. it's very hard for a hedge freund to predict and my heart goes out to the hedge fund community. and macy's, so predictable. last night on "mad money," tirico -- october was a great month. >> misses a target, misses it limited. that doesn't happen a lot. >> no. >> and target's been -- those are the two that have been most consistent, have to dig deeper. don't understand it. >> interesting. >> did nordstrom call and make you feel better about the sector? >> i think the power
makers--look, the power makers who haven't gone to europe, the amazing deal the other day, they'll be strong, i'm going to look at jones, jmy, that's domestic. costco, okay gaps, for -- who's been really consistent. gap's been really consistent, and they didn't make it this time. >> reversal of ford. reversal of ford. this morning we're going to take you live throughout the areas hit hardest by sandy, show you the impact on local businesses in the region. breaking news from ford that jim brought you a couple of weeks ago. allan mallalay is staying on at least until 2014. we'll see how the market opens in just a few minutes, don't go away.
they don't know it yet, but they're gonna fall in love, get married, have a couple of kids, [ children laughing ] move to the country, and live a long, happy life together where they almost never fight about money. [ dog barks ] because right after they get married, they'll find some retirement people who are paid on salary, not commission. they'll get straightforward guidance and be able to focus on other things, like each other, which isn't rocket science. it's just common sense. from td ameritrade. about 40 seconds to the opening bell as we -- at the big board today, it's november. it's a nonprofit organization supporting men's health. men grow mustaches, david favor.
grow mustache for cancer research. >> you do it, i'll do it. >> you wan to -- i look like juan valdez, but i'll try. the wall street watch organization along with the nypd, what an amazing job the port authority there did have done over the past few days. i keep thinking about the firemen who had problems with their own homes. they just keep working through the night. it is unbelievable here in manhattan and anywhere that's been affected along the eastern parts of the united states. a lot to go on today, jim, one of the big stories from last night, carl icon, and netflix. >> something of a surprise there, one would think. carl's also a value guy. i have not spoken to mr. icon about it. maybe there will be a guess on your show later, you never know.
but one would imagine, he sees an opportunity there, there is also certainly he talks about if you do get an activist in those shares. there are potential purchases here, the business itself may be suffering to a certain extent. but lack of growth as high as people might have wanted. they have 20-something million subscribers. there's still a significant business here, and there's always an argument to be made that it's of interest to a buyer. >> but that's one name and there are some others you can come up with. >> now journal makes a point that his ventures in the video haven't always ended cluster. >> the worst investments he ever made in a harvard business review. about block bluster, he said that it had too much debt and he didn't recognize the industry change and at that time
blockbuster's industry change was led by netflix. and whether or not he is able to see where it's going this time around. the competitor, the block bluster when he was on the board there. >> carl is a very, very bright man who's able to see things where the others aren't. why are so many pharmaceutical companies are biotech. >> people like to be enterta entertained. so i don't know when it comes to technology, whether it's yahoo! or some of the other names, it's not like carl has some sort of thesis that's out of the main stream. he's always able to take more risks than others have. >> if he wants change, he's got to own the shares, that's one difference or challenge. and the board is staggered, so it's going to be more difficult, you can just nominate a plate of your own, if they're staggered.
it's harder. >> he does make investments where there is no active participation on his part. >> where is the forum. >> exactly. exactly. >> remember he made a big business and it fell completely flat. >> it's important to the canal for ceos. no one would be better than you. >> right, right. >> it was a great performance last year. netflix, the single best snp stock for the month of october, the worst amd down 40%. we all know what happened to tech, nasdaq the worst month since 2008, for october. >> apple's basically planning today's session. apple's about 15% higher than the record high. there's not a really downtier. apple remains under $600 a share at least for now. >> amd and intel had a war for
years and years and years. and amt has been vanquished. sony and panasonic, intel has lost so much momentum to keep it from turning around. 4% in october versus the u.s. already got chrysler this morning, 10% versus an estimate of 13. dodge up 20, ram up 15. jim, the numbers, they have been good all year, but they haven't been as good in the second half of the year. >> sandy cutler from eaton commented and he still thinks auto motive is very strong. ford, chrysler has done a remarkable job, japan, the japanese company now american companies doing incredibly well. it remains a strong part of the u.s. economy. >> stock the next 1% loop. >> the autos are a real bright spot. i like that gm call yesterday.
in technology, we did have a couple of deals. they're merging it with a software company. but it's a pretty nice premium. you always like to see a 30-plus premium after all. >> they have some accounting issues. >> forget it if that's the case. if you say it, i believe it. we should also appoint bmc in the software area.$750 million going to buy back really quickly. by the end of the year, bmc has a lot of activists in that name. it was thought that you actually get a deal. i have spoken with a couple of them near the end of the year. you've got the likes of elliott and associates. you've got these core views in there.
so it's a positive, they are changing the capital structure to a certain extent. >> we'll talk more about the ford numbers. phil, how big of a mess here? >> not a huge mess. they were slightly positive. 0.4%. what will be interesting to hear on the conference call is how much sandy slowed down sales, not only in the northeast, but really when you're taking like basically a fourth of the country. people sit there and say, you didn't have sales on sunday and monday and tuesday, it's goes further than that. you look at people preparing for sandy, they put off perhaps going into the dealership. so most people are looking at sandy and bringing down all sales at a decent amount, not a huge amount, but a decent amount so that i wouldn't be surprised if we see other sales reports coming in, just a little shy of estimates. so fort, the increase of 0.4%. one more piece of news, that
ford leadership conference call, still going on. one more question about mallalay staying in the 2014. somebody asked do you have a contract? he said my hand shake with was my only contract. >> people were looking through this because of sandy, were they discounting that much because of missed sales, for, i don't know, five days or so. >> when you look at the possibility of losing that many sales in the eastern part of the united states potentially. it's hard to quantify that. this is not a huge miss. a huge miss would be, let's say sales dropping 10% with an increase of 3.5%. they're off 3% here, i think most people are going to lock at this and say hard to quantify sandy, i wouldn't quantify it a huge miss. >> here on the floor, more on what is moving this morning. bob? >> the important thing, the insurance companies are talking
about sandy as a manageable loss, i can tell you the loss on productivity for anybody that works in manhattan is pretty intense. losses are not going to have a material effect on earnings. sandy could shave 0.3%. natural starts early on are usually offset by increased activity later in the quarter. so that's a big important point. what about the wall street activity. do you know the stories that are circulating down here? two-hour, three-hour commutes to come in. 1 1/2 hours delay for the lincoln tunnel. that's really astonishing numbers here. you can see about the surreal commute that's going in this more. so i think lost productivity is a real issue, october retail sales, a little bit of a split personality. if you look the first half pretty good, the second half a little bit warmer and there was
a real problem with sandy. costco, did you see the numbers there, up 7%. the problem is the other guys that you would have the impact. they don't report on a monthly basis anymore. so that's an issue. tjx was strong. but if you look at gas limited, the team retailers, again, that wasn't so great overall. as far as earnings go, moving toward the tail end, we'll start getting the retailers very soon. look at some of the names today, boy gaining, missed on the top and bottom line. don't go blaming sandy, they talked about isaac impacting them, that stock's going down. of course they own a big chunk of the borgata in new york city. another miss here for avon products, that stock opening down as well. jim, i just want to let you know that the ceo here, telling me earlier that he believes power
may be restored down here or in this immediate area, by tomorrow. if that's true, they could talk off the backup generators although those backup generators have been -- >> the whole way, this place is operating, it was operating before. it was kind of like the walking dead when you came down here a couple of days ago, you felt like the walkers were around but the new york stock exchange. >> i know everybody's talking about china and i bumped into ira harris and what many find amazing is the expectations of their pmi, the one that was bumped at their market h was spot on. they guessed it at 50.2. itch question look at our data this morning, atd it's a bit confusing, i'm looking at the methodology, the revision, but it really takes away some of the
thunder, but if you look at a 30-year intraday. you can look at the 8:15 eastern data was released. and it's moderated a bit, we're up a couple of basis points on the 30. they did see the rates pop-up again, there's definitely pressure to the down side as we continue to monitor some of the issues, banking union issues, the uk that are going on in europe. and let's look at some of the currency issues on the other side. on asia, we all know that the bank of japan is getting the easy mode, even easier, not only in their quantitative easing that we do. but one effect they like is it's pushing the dollar higher, many currencies higher again, dollar is now above 80, that's kind of a magic mark to pay attention to. last but not least, the
barometer of anxiety as you can see on this long-term chart, it's pretty much sideways so in terms of the big news affecting the banking sector, it isn't busting out at the moment. >> les check out energy and metals. jim, you're right when you talk about the ghost town atmosphere down on wall street but you talk about how well the -- that are actively back assessing the markets and trying to figure out what plays to make, there's a lot of uncertainty, uncertainty about tomorrow's jobs report, uncertainty about what the economic data will look like after hurricane sandy, now is the time to be on the sidelines, i'm looking at the data that we got on china. the positive pmi data, that has helped to look at copper
futures. later this morning, that will be another trading point, of course, for many traders and of course tomorrow's job stat will be all important. we are looking at information where you are looking at risk on, risk off. there are many that are saying precious metals may do well, but energy makes up in this environment. natural gas, expectations that are expected, looking at the reduced demand from hurricane sandy and they're looking at the cold weather that's upon us. we're going to have a live report with the eia. at 10:30 a.m., a delayed report for oil inventories will be up to date from the energy department at 11:00 a.m. and of course melissa will bring that live to you as well. >> you have heard success news as well. mallalay is staying. how did general motors fare last month in terms of its sales.
we create easy-to-use, powerful trading tools for all. look at these streaming charts! they're totally customizable and they let you visualize what might happen next. that's genius! we knew you needed a platform that could really help you elevate your trading. so we built it. chances of making this? it's a lot easier to find out if a trade is potentially profitable. just use our trade & probability calculator and there it is. for all the reasons you trade options - from income to risk management to diversification - you'll have the tools to get it done. strategies. chains. positions. we put 'em all on one screen! could we make placing a trade any easier? mmmm...could we? around here, options are everything. yes mom, i'll place a long call to you tomorrow. i promise. open an account today and get a free 13-month eibd™ subscription when you call 1-888-280-0154 now. optionsxpress by charles schwab.
looking for a better place to put your cash? here's one you may not have thought of -- fidelity. now you don't have to go to a bank to get the things you want from a bank, like no-fee atms, all over the world. free checkwriting and mobile deposits. now depositing a check is as easy as taking a picture. free online bill payments. a highly acclaimed credit card with 2% cash back into your fidelity account. open a fidelity cash management account today and discover another reason serious investors are choosing fidelity.
welcome back, fresh off ringing the opening bell from the nasdaq. lieutenant, good to have you with us, good morning. >> good morning, sir, how are you? >> good. on behalf of all new yorkers, i want to say thanks to you and the nypd for your hard, uninterrupted work over the past few days. we all know that the nypd has all sorts of contingency plans for the past few scenarios. >> i think the planning process that we went through certainly
helped us prepare for this storm, a lot of the contingency plans were put in effect. but i don't think anybody could have anticipate or forecast the devastation that sandy brought to us. >> certainly there was some improve case going on out there. >> with the subways being down, but then you got the closure of river crossing. all to borrows people helping people, although there was a
extreme amount of suffering and hardship, but we all came together and supporting one another, and going forward, we're going to rebuild and make it right. >> how does planning change from this point, a lot of people have to reframe the idea of living in battery park city or having an office in lower manhattan. does the nypd also have to think about how you'll address this challenge if it happens again in the years to come? >> certainly without question, when we do our after actions and lessons learned, certainly there's some take aways that you will have to address down the road. but the community at large, certainly i think once we get back up and a sense of normalcy returns to the community, people should go about running their lives. we rebuilt and we go back to normal and we do what americans do best. we get on and live our lives. >> marathon's this weekend, controversial car.
>> runner . >> u want you to get a chance to give credit to the gentlemen on each side of yous. i'm doing the bulk of the interview. the new york city police dep, you know, the job that the guys are doing out there is tremendous work. >> our thanks to you lieutenant, to them, to the commissioner, everyone else, and thanks to your time. clags on ringing the bell. >> due to superstorm sandy, residents have no power, may not
have for a while. intentions slowly building. can everyone remain calm in a crisis? our senior correspondent scott cohn has spent much of the past few days in lower manhattan and has a lot more on the impact on the people and businesses there. >> a half a mile away from you on water street, and the manager of the best of new york deli, i wanted you to show us here, this is some ice cream you guys took delivery of on monday. how much does that work. >> that's probably $100,000 in one and two bags, you can imagine the rest we have here, and that's just ice cream. $1,500 worth of merchandise. >> this is a 20-year family business, are you ever going to be able to come back. >> if we are able to come back, it's never going to be the same. >> reporter: quick update on the traffic situation. it was an epic commute in
manhatt manhattan. subways and commuter rail lines are coming back, but it is a rough go, this is just part of it. guys back to you. >> thank you very much scott cohn. cramer's got your number, next up, 60 seconds and we take a look at the s&p movers as the s&p is up. what makes the sleep number store different? you walk into a conventional mattress store, it's really not about you. we have so much technology in our store to really show the customers what's going on with their bodies. this is your body there. you can see a little more pressure in the shoulders and in the hips. ... now you can feel what happens as we raise your sleep number setting and allow the bed to contour to your individual shape. oh, wow. that feels really good. at sleep number we've created a collection of
innovations dedicated to individualizing your comfort. the sleep number collection, designed around the innovative sleep number bed - a bed with dualair technology that allows you to adjust to the exact comfort your body needs. each of your bodies. so whatever you feel like, sleep number's going to provide it for you. during our semi-annual sleep sale, save $500 on our classic series special edition bed set-but only while supplies last. sale ends soon! you'll only find the innovative sleep number bed at one of our 400 stores, where queen mattresses start at just $699.
>> it's getting so hard to find cheap gold. really, really hard. >> bullets, this is an amazing story, this is a defense contractor who's actually doing better. thigh blew away the numbers, carl, blue them away. >> pimco, this is september that is not empties amazon and then chart, this is a company that's doing more for natural gas and stocks. >> given the fact that we have been so rudders over the past few days. >> coming up, we got a hat trick, ism manufacturing, construction spending, three big pieces of economic news coming up at the top of the hour, don't
go away. nobody said an all-in-one had to be bulky. or that you had to print from your desk. at least, nobody said it to us. introducing the business smart inkjet all-in-one series from brother. easy to use, it's the ultimate combination of speed, small size, and low-cost printing. i gave birth to my daughter on may 18th,
five days later, i had a massive heart attack. bayer aspirin was the first thing the emts gave me. now, i'm on a bayer aspirin regimen. [ male announcer ] be sure to talk to your doctor before you begin an aspirin regimen. [ woman ] learn from my story. welcome back to "squawk on the street." we have a lot of data coming out in the next 15 seconds. we'll be looking at september construction spen issing,
october consumer confidence. the numbers have all gotten a little bit tight as some numbers were put off of course by the storm and on the northeast side of the country, here we go, the consumer confidence numbers jumped, jumped to 72.2 from a revised lower 68.4 and that's 72.2 is still a bit light of what we were looking for at 73. still the best levels going back, obviously around february of '08. if we lock at construction spending, it was up six cents as we expected. and last month, august, which was down .6, really downtown only .1. if we look at the consumer confidence numbers, 72.2. that is last month was also the best levels since february of 2008. 51.7 might be the biggest surprise of the day. we're looking for 51, our last
three at 51.5 was a very strong read and of course it reversed three numbers that were below 50, so we can go 51.7 which was still the negative reads. remember all the debate going on with regard to china. the regular pmi which they predicted at 50.2, but also the hsbc market of pmi which still remains a bit below 50. these are all considered good visibility to determine which things are going down the road. >> thank you so much, rick santelli and the markets reacting, the nasdaq is now higher by .9 and the dow jones is 1.1% to be exact on the back of the better than expected ism. the increasing confidence coming in at the highest level since february of '08.
let's talk to steve lease man. chief economist and we want to go through this data, but also what this might mean for tomorrow's big jobs number. steve, your take on the data? >> it's coming in better than expected. like a cross or whatever it is? obviously what's going to happen is the data's going to soon be affected at least the high frequency data. but for the moment, it looks like we had a decent read out of manufacturing than surprises me because amount of regional manufacturing indexes have not been on the plus side. the other issue right there is adp looked good this morning, although that's a new index, so we're not exactly sure how that's going to comport. construction, what's happened here is the private sector has been positive with residential surging, but the public sector
was negative. looking at the internals at ism, the employment sector was down a little bit. and then the other thing, i don't know how much you talked about, i wasn't listening to the prior hour getting ready for this, but the retail sales numbers have been good. but the numbers have been doing pretty well, it's business that has not been doing well. the question because whether we have to rethink that question and whether or not manufacturing can have rebound from the -- >> what tease overall mow stayic from the economy. >> i think what you're seeing is the ebbs and flows of the economy that's built stuff below trend, that's really not gaining momentum. that's not really losing mow moan tum. it's really losing 1.5% average growth. sometimes the numbers will get a little bit below what that will
imply. even the claims numbers. showing you that we have got a labor market that's probably generating about 125,000 to $150,000 jobs that's not the kind of economy that's going to get you sustained improvement. you can't have bouncing around. >> steve, steve, i'm just wondering if you can tell us, given the revisions to the august construction numbers which were minus .06. what's going to happen to the gdp we just had? >> i think there's a potential for the gdp report to have a little bit of a positive bias now. inventory and trade suggest we're going to have a bigger drag on the gdp numbers. i think there's still a potential for some downward division. i think what's really going to take place is guessing what will be the effect of the sandy on
the overall pace of gdp. and the overall estimates of 10 to $20 billion are correct and whether we wind up with a multiple of those. there's usually preliminary ones, then we usually go up between two and four times. >> is that a negative to the economy? is that a cost to the economy or is that a negative? what happens here normally is you get a decline in business activity. >> in general, these things are seen as negative for the economy, you can't destroy things and rebuilt them and hope to run a regrowth strategy on
th that. >> a lot of this took place on the seacoast and flood insurance usually doesn't cover are that. when you have the initial impact as negative, the recovery is spread out over several quarters and very hard to isolate, the initial impact is very big. and the ones affecting the income side of the equation and having these uninsured losses is going to be -- >> i read one market watcher yesterday, guys, wrote, if your house got flooded, you better hope a tree fell on it first given the way that flood insurance is working right now. >> just to reiterate what steve said, people pay for it one way or the other. people are going to pay for it out of their own pocket or fema is going to come in and pay for it that the people in general end up bearing. >> a transfer of wealth as a
result of all of this. gm out with their october sales. fill lebeau is out with those numbers. >> as we bring in kurt, let's mention that the sales came in at 4.8%. character trooized what we saw this month, including the last three days of the month. >> yeah, phil, you know, first and foremost, you know our thoughts and prayers are with everybody in the northeast, given what they have been through, you know, we're going to do everything we can possibly do as a company. we donated over 50 vehicles to the american red cross. so, you know, we're doing whatever we can. having said that, given the circumstances, there was definitely an impact to the business but we feel that we finished almost 5%. so we feel gradual growth in the
indust industry. are we showing half a percent? what can you gaunt for it? >> it was certainly a few thousand units, phil, we're trying to quantify that as we speak. but you're right, leading up to the storm up to 50% of our stores in new jersey are trying to regain power, we're doing everything we can both from a standpoint of the american red cross and we'll work with those individual dealers to help them with their inventory needs and to get up as quickly as possible.
in new jersey, the new york area, are you bringing down your estimate for let's say november and based on the fact that they got other things on their mind right now and more pressing needs? >> there's no question that there's going to be impact as ittal relates to sandy in that part of the country. >> as you know, it's a big piece of the volume in that part of the industry. we continue to see some strong fundamentals in the economy, particularly housing, we have a lot of discussion about housing, but the availability, consumer sentiment is up, so overall, we do see continued slow, gradual growth. november is always a unique
month, especially with the election going on. i think there's been an exceptional amount of mud slinging going on in this particular election, once we get past the election, we think things are going to return to some semblance of normalcy and the economic factors are positive. >> kurt mcneil, the vp of u.s. sales for general motors in detroit. we were talking with kurt and you saw it flash at the bottom of the screen, october sales from toyota, an increase of 15.8%. that was substantially below the estimate out on the street which was calling for an increase of at least 24%. so those are the latest numbers for october. >> the dow's up 132, let's get a market flash. >> for the most part doing well, same store sales and it is warning for his third quarter, the action sports retailer
saying that things are very slow in europe, at least they didn't blame sandy. >> more of the same, mayor bloomberg says the new york city marathon will go ahead on sunday, barely six days after hurricane sapdy. that's the right decision from the mayor, the president of the organization that organizes the marathon will join us next. >> and still ahead, well head to the jersey shore as folks begin to clean up after the unbelievable destruction from hurricane sandy. we'll be back in a minute.
we don't call this our company, we call this our mission. green toys teaches children that if i have a milk jug and i stick it in the recycling bin it can turn into something new. chase allows us to buy capital equipment to be able to manufacture in the states to the scale we need to be a global company. with a little luck green toys
could be the next great american brand. find what's next for your business at chase.com/mainstreet the eye of hurricane sandy hit the jersey shore hard washing away whole economies in just a short 48-hour period. kayla? >> reporter: well, melissa, tom's river is just across the bay from seaside heights and suffered similar devastation during sandy, you see some of these polls on the docks here on tom's river on the bay. water was higher than that during the storm and a back porch actually detached with a
jet ski tied to it and is close to where we're shooting right now. we went through the town and talked to some of the neighbors. most of them completely gutting their houses, we're turning to find extreme flood damage, they were stacking up carpets and sofas and toys and tables. some empties all the furnitures in their houses. a lot of them are also raising questions about what type of insurance they'll actually have. in many cases your insurance is a function of your mortgage so if you own your home or it's under construction, then that might be in limbo. but many of the people in tom's river were actually able to return to their homes. many still remain in shelters because they can't return to those properties. we visited one of those shelters this morning and saw about 300 people sleeping end to end in a school gymnasium, tom's river north high school. one of the many schools set up
for the shelters and tom's river is just one of them which has actually let you bring pets. housing up to 500 people during the storm's height and slowing as some have been able to go back home. but when we were talking to them, we raised the question, he wants people to go back to school as soon as possible. when we were talking, if schools are functioning as shelters, how long will they need to be under that function, when can they reopen as schools and some students were saying actually it might not be until after thanksgiving. they're definitely not going back to school next week. they might even give people as much as three weeks to be able to readjust after the situation, guys. >> okay, for the moment, kayla's house, she's actually reporting from new jersey. here in new york city, the important decision has actually been made. the marathon will go ahead, the ing marathon is set now. the president and ceo of the new
york roadrunners who organize the event. welcome to the program, mary. hi, mary, are you with us? mary whitenberg? >> i am, i can hear you. >> hi and welcome to the show. this is an important decision made, i believe by the mayor's office, correct? how touch and go was it that we should have the marathon on sunday for so many obvious reasons? >> i think it was a very big question, you know, what is very clear here in new york is restore ration and recovery is first foremost and we have stood ready to proceed as the mayor and the city thought best for the city and the mayor's r the city was to uplift the city and move the city forward is to do the marathon, we're ready to go and do everything we can and honor those that have been hurt by this horrible storm
and those lost and so the responsibility is big to ensure that this is really an amazing day for new york. >> i guess the issue for many people is the practicality when they have so much of the mta network not running, so much of the city and the area and staten island is -- how do you route a marathon to keep everybody safe? >> first the whole idea is, again, to honor areas like, those in areas like staten island and the route is actually mainly goes around areas hardest hit so the route is fine as is. the issue, as you said, is exactly transport to staten island because the belief has been it's important to be in staten island, honor staten island and raise the awareness for more help on staten island. so we have gone to a private
transportation system. the point is to not tax the city in any way. so we'll be going to a whole bus model of private transportation. even though the mayor's office is trying to get transportation back for the city, there's no reason to tax that system. we'll to private busses and that sort of thing. >> you'll go to private security? >> the city really has significant resources. >> significant resources that are kind of busy right now. >> again, you know, the decision of the city that they wanted to go forward with this is theirs and takes into account their resources, and what they think is best for the city, our job is to prepare and deliver the best event we can that brings the city together and helps it move forward. >> the central question is, can
the city under such stress have fun? >> i think the central question is actually how do we continue to further the recovery and restore ration, honor those hard hit and begin to help the city rebuild and how best to do that, and the determination was, you know, this weekend, whether it's other sports beginning to continue on saturday or significantly the marathon on sunday, the decision of the city was to move forward so our focus is how do we actually help further the recovery and that's the only reason we run this race, this is not about running in any way, shape or form anymore. this is about supporting the city of new york, and helping us on this road to recovery. >> good luck. >> sandy's path of destruction
also crossing through the campaign trail. ohio secretary of state joins us live next. ♪ ♪ ♪ [ male announcer ] don't just reject convention. drown it out. introducing the all-new 2013 lexus ls f sport. an entirely new pursuit. i've got a nice long life ahead. big plans. so when i found out medicare doesn't pay all my medical expenses,
i got a medicare supplement insurance plan. [ male announcer ] if you're eligible for medicare, you may know it only covers about 80% of your part b medical expenses. the rest is up to you. call and find out about an aarp medicare supplement insurance plan, insured by unitedhealthcare insurance company. like all standardized medicare supplement plans, it could save you thousands in out-of-pocket costs. call now to request your free decision guide. i've been with my doctor for 12 years. now i know i'll be able to stick with him. you'll be able to visit any doctor or hospital that accepts medicare patients. plus, there are no networks, and you never need a referral. see why millions of people have already enrolled in the only medicare supplement insurance plans endorsed by aarp. don't wait. call now. o0 c1 wooohooo....hahaahahaha!
oh...there you go. wooohooo....hahaahahaha! i'm gonna stand up to her! no you're not. i know. you know ronny folks who save hundreds of dollars switching to geico sure are happy. how happy are they jimmy? happier than a witch in a broom factory. get happy. get geico. fifteen minutes could save you fifteen percent or more.
potential voters will have trouble voting on tuesday's electi election. the secretary of state in ohio, he is in columbus this morning, mr. secretary, thanks for being with us. >> great to be with you, carl. >> we have been spared the defense that new york and new jersey experienced. we have had small scale power
outages, there's only been one polling place that was affected and that was only for a couple of hours, so we are back fully going in all of our polling locations to early voting. we had -- so we had some man-made problems. we have contingency plans that could disrupt voting and we don't think that anyone will be inconvenienced on election day. >> the deployment of materials, all the hardware, the personnel, uninterrupted as far as you can tell? >> uninterrupted in the early voting process and we don't expect there to be any issues with any of our polling locations. all of our local board of elections are required under
state law to file emergency plans for alternative voting sites, alternative paper ballot options. all kinds of contingencies are planneded for should something occur and we don't foresee any of those things happening, but i just want to reassure folks that in case something does happen, we're still prepared for that. >> if i am an ohio resident and i have cast my vote by mail, should i be concerned that during the hurricane, there's been in disruptions in the mail? what has been done to make sure those ballots are safe and secure? >> we have not experienced any disruption of postal service delivery as it relates to our ballots.
in ohio if you have cast a ballot by mail and you're uncertain, you can actually contact the board of elections and they can verify that your ballot has been received and if it has not, they can accommodate you in another way. voters can validate the receipt of their ballots and we make it one of the most convenient -- we have accommodated the states for 35 days, we have had 1.2 million votes cast, of about 5.8 million expected. so early voting is going well, people are turning out early, which means that that lessens the likelihood that there could be polls on election day. we expect things to run smoothly right up through the close of the polls at 7:30 on tuesday. >> 120 hours from now.
you're going to have a lot of eyes on you. >> we're almost an hour into trading, look at the gain on the dow, 104 points on the second trading day. we'll have an update of the interstate of the new york stock exchange and the rally sentiment. t know it yet, but they're gonna fall in love, get married, have a couple of kids, [ children laughing ] move to the country, and live a long, happy life together where they almost never fight about money. [ dog barks ] because right after they get married, they'll find some retirement people who are paid on salary, not commission. they'll get straightforward guidance and be able to focus on other things, like each other, which isn't rocket science. it's just common sense. from td ameritrade. at legalzoom, we've created a better place to turn for your legal matters. maybe you want to incorporate a business you'd like to start. or protect your family with a will or living trust. legalzoom makes it easy with step-by-step help
when completing your personalized document -- or you can even access an attorney to guide you along. with an "a" rating from the better business bureau legalzoom helps you get personalized and affordable legal protection. in most states, a legal plan attorney is available with every personalized document to answer any questions. get started at legalzoom.com today. and now you're protected. a short word that's a tall order. up your game. up the ante. and if you stumble, you get back up. up isn't easy, and we ought to know. we're in the business of up. everyday delta flies a quarter of million people while investing billions improving everything from booking to baggage claim. we're raising the bar on flying and tomorrow we will up it yet again.
welcome back to "squawk on the street." it's slightly bullish here for the market. we are looking at natural gas futures at $3.70 up about a penny on that number. we have seen a fluctuation on natural gas so we have not surpassed the high of the session. i'm joined now by john woods who's the president of j.j. woods and associates, a veteran trader on the floor. we have above average storage levels for this time of year, we have reduced demand because of hurricane sandy and then we have the winter coming, so how do you play this? >> we have a market that is offline. you had a bullish number that was a little bit below what we
thought, we saw 68, 70, 65. i think we're going to go back down to 350. >> you said that before this happened before hurricane sandy, you thought that natural gas might be on its way to $4 even it would be there today. >> all things being equal, if we didn't have this tragedy, it would be at $4. you're having increased demand, you're starting to see some weather patterns coming this. >> there is still a lot of natural gas out there, i mean how cold does it have to get? are you anticipating and do the models show you that it's going to be a very cold winter? >> even if it does show there's a cold winter, do the reverse last summer. hottest on record. my thought is maybe about $4.25. there's not enough cold out there to use all this gas. >> how do you come in and trade based on what has happened in this region, oil or natural gas. >> you don't hold that position
very long, you just get in and out real quick. >> there you have it, melissa, back to you. >> thank you sharon epperson and thank you john woods. >> we're just one hour of trading, since hurricane sandy shut down the financial markets. a rally on wall street. let's bring in art cash and by rally, we mean a 1% gain on the dow. what can you tell us about how today stacks up against yesterday the first day? >> we're having a pretty smoothly running, certainly here at the exchange, coned started to get some of the power back, the streets west of here picking up. there's still problems with cell phones and that sort of thing and that night be limiting the volume. the employment situation, initial claims, the adp, there are even some people think it may be some posturing in front of the election and the idea
that the destruction of the hurricane is going to lead to a spectacular job growth. i say. >> hold on a minute, that was the basis that you could dig holes, pay people to dig holes and pay other people to fill them in again. >> it brought a lot of my ancestors over here because they thought there was a lot of things in those holes like gold. but that's not exactly the same thing. that's an analogy of perhaps specious, sometimes useless seeming work. but breaking a window to make sure that a guy gets hired to replace the window is a completely different thing. you're taking something away, otherwise you should perhaps unleash a war, we could knock down a heck of a lot of
buildings that way. >> you're reducing the wealth effect which actually makes people feel less wealthy, they will have to work harder on the classic series, under this environment, it's almost like taking away their mortgage tax relief, they will work on it. there's actually a benefit in theory for that economy to happen. >> that's a theory in depravation. >> the feel that people have to go out and make up reasons to spend money. >> are traders betting that the jobs numbers are going to be good tomorrow? >> they're leaning that way. >> despite team methodology and concerns over gdp. >> the initial claims made them feel a little bit better because it's a trend and that trend, you know, either that big blip that we had, the trend, if you take a four-week average or whatever made them feel a little bit better. >> and in terms of ism, maybe it's the lack of the alternative, right, meaning a
sub 50 number that is a little bit of a sigh of relief? >> you would absolutely love to see it, but it's a little bit of a trend in direction, and people, there is a general sigh of relief that the hurricane's gone and life goes on and so we're -- it looks like we're having an election that may actually occur on time. >> so you mentioned the pass churing ahead of the election. what is the thought at this point, i hate to break it down in such terms, how would one pass chur ahead of these elections. >> i'm not sure that they're playing it as a general theme, i think again they're picking certain health stocks in case one side's beginning to win. i think the in fact that they have held in this manner for so long, really kind of verifies the polls that things are pretty tight and it's tough to choose and luckily we haven't heard any bad news from across that big pond over there. >> we haven't talked about what is going on across that pond in
quite some time remarkably. >> that's good. >> the show the ripple effect of sandy, the scene, at gas stations around the tri-state area and further, drivers waiting hours to fill up their tanks, we're live on the scene next. one is for a clean, wedomestic energy future that puts us in control. our abundant natural gas is already saving us money, producing cleaner electricity, putting us to work here in america and supporting wind and solar. though all energy development comes with some risk, we're committed to safely and responsibly producing natural gas. it's not a dream. america's natural gas... putting us in control of our energy future, now. customer erin swenson bought so, i'm happy. today. sales go up... i'm happy. it went out today... i'm happy. what if she's not home?
(together) she won't be happy. use ups! she can get a text alert, reroute... even reschedule her package. it's ups my choice. are you happy? i'm happy. i'm happy. i'm happy. i'm happy. i'm happy. happy. happy. happy. happy. (together) happy. i love logistics. you know it can be hard to lbreathe, and how that feels.e, copd includes chronic bronchitis and emphysema. spiriva helps control my copd symptoms
by keeping my airways open for 24 hours. plus, it reduces copd flare-ups. spiriva is the only once-daily inhaled copd maintenance treatment that does both. spiriva handihaler tiotropium bromide inhalation powder does not replace fast-acting inhalers for sudden symptoms. tell your doctor if you have kidney problems, glaucoma, trouble urinating, or an enlarged prostate. these may worsen with spiriva. discuss all medicines you take, even eye drops. stop taking spiriva and seek immediate medical help if your breathing suddenly worsens, your throat or tongue swells, you get hives, vision changes or eye pain, or problems passing urine. other side effects include dry mouth and constipation. nothing can reverse copd. spiriva helps me breathe better. (blowing sound) ask your doctoiva.
this rest stop. it depends whether you're coming from the south or the north. we want to pan to give you an idea of how long this line is. this is the end of the line, so to speak near the pump. what you can't see is the beginning of the line that stretches to the offramp for the rest stop off of the turnpike. similar scenes are playing out all over new jersey. long island's been hit hard too. long gas lines forming there yesterday, they remain today. the long island gasoline retailers association say less than half of their 600 members have gas and power. shell saying a third of its new york and new jersey branded stations are damaged or have no electricity. the post storm situation has some drivers crossing the state line in search for gas, others just frustrated. >> now it's impossible. can't get it. >> we have no lights on so we have to have a gas can for a generator. it's been tough. >> it's just a game.
we have so much gas right down the street. and nothing we can't get. >> there is a very big reason, without power gas stations can't operate and here in new jersey more than the nearly 2 million businesses without power are gas stations. those retail outlets that are open to buy fuel from out of state distributors that provides some relief, but it's certainly not a complete solution. it runs much deeper than that as we'll find out in a moment. >> just for anybody who is going to do this, better to make a u turn and approach from north rather than the south, is that right. >> that seems to be the situation here as vince lombardi, we have talked to people coming down from the north. it takes them 20 to 25 minutes to get to the pumps. but those coming from the south going into the city, it takes them up to two hours. >> when you're talking a factor
of ten, i would make the u turn. >> you would definitely make the u-turn, sure. >> thank you for that. from the gas pumps, let's focus on the supply at refineries to the major terminals, the storage facilities that district gasoline and jetd fuel to the new york city region inge stead, kate kelly isn't one of those terminals in lindsay, new jersey today? >> reporter: i'm standing in front of what used to be the administrative office of new star energy at their terminal business, that is until it was trashed by hurricane sandy, in the last few days, these termin terminals, 20 or so of them that supply almost all of the auto and gas to the new york, new jersey region are facing an influx of debris, tidal waters, nine to ten feet. timber, even raw sewage, it's really a disaster. this morning, they're also
facing the added component of a full spill announced yet, 300,000 barrels from a site nearby. the scale of the disaster is unlike anything they have ever seen. >> i've been in this business for 35 years, this is the worst hurricane that has ever hit the east region for us. >> reporter: scott birdman who is managing the scene has two essential things he does, one is to manage gas racks where trucks fillup. he's hoping to get one or two of them june line today. his biggest hurdle is power, he's operating on a generator now and he's got another one brought in from the gulf coast region. so thanks to that he hopes to help new yorkers and new
jerseyians get gasoline. so we'll keep an eye on how that progress goes. >> kate kelly joins us from linden, new jersey. the dow is up triple digits as we countdown down the last jobs number before the election tomorrow. let's bring in scott rend. scott, how are you? we haven't been a 1% gain on the dow since september 13. this is either traders making a bet on tomorrow, making a statement about the date on today or it's just the beginning of the month, which is it? >> i think it might be a combination of all of those things, in the past, i hay -- supposedly the correlation is going to be higher this time that would probably mean that the 120,000 nonfarm jobs that people are estimating, maybe it's a little bit higher than that, but the date that we had,
productivity is high, labor costs are down so all of this data is good, but i don't think it changes the fact that we're in a modest growth, modest inflation environment. this economy is not going to be shot out of a cannon next year, growth might be a little bit better, we're looking for about 2.5%. but, you know, you have to look at this realistically and in my opinion, your year end target, you and i have talked about this before, 1,400 to 1450, i think we're going to be volatile until the end of the year, but i feel pretty good that we're going to end up in this range. >> we turn the page for many funds out there, what strikes me in today's session is that technology is really leading the way here. some very big gains, microsoft up 2.5% and ibm. are we seeing a shift now? as we left october as being one of the worst performing sectors
to this new month, to this new year for a lot of funds? >> well, you know, melissa, really for us, we have been overweight tech really all year so the last month or two of the performance, we weren't real keen on that. but i think when you look ahead for technology, if u you think that the recovery may pick up a little bit of speed, if you think that china is going to bounce back a little bit, if europe gets less bad, you're going to get increased capital spending on technology. in my mind, we like technology, we see capital spending on technology getting better in 2013, i don't know if it's going to lead the whole way, we want to remain overweighted, we're also overweight on to the consumer discretionary sector. and we like materials from here too. we're on things that are sensitive to the continue wagsz of this recovery. we don't want our clients playing a lot of sandy or do things based on what's going to
happen with sandy, but we want to make sure that they're positioned for a little bit better economy and a continuation of this economy here domestically and globally. >> see you next time. have a good day, guys. how is the hotel business handling the influx of people seeking shelter. ou see they alle something very interesting in common. they have teachers... ...with a deeper knowledge of their subjects. as a result, their students achieve at a higher level. let's develop more stars in education. let's invest in our teachers... ...so they can inspire our students. let's solve this.
out continues, some big name hotels are continuing, unable to offer guests heat, light or sanitation. president of america's continental, which also operates the holiday inn and crowne plaza joins us now on the newsline. welcome to the program, sir. you have 600 hotels in the northeast area. how many have been affected by sandy?
>> we have over 600 in the area. there are approximately 50 that are currently operating in either on a closed basis, which are about 17 of those or the remainder on a diminished cap capacity, which means we are doing to best we can to serve our guests across the entire region. >> it's tough choices. if you look at the hotels shutting down in manhattan, no heat, no light, how do you ko d coordinate the business through the in? it's almost down to the manager level. >> well, certainly is much less by the community involvement from the general manager as you call duty manager. we have extensive planning that goes into all of these kinds of situations and as we see weather reports or any other kind of catastrophes, it might be hotels or in with our communities that have urgently getting them ready for whatever case might need to
be addressed. the teams do a fantastic job on the ground. the safety and comfort of our guests and employs are a priority. it's not unusual for us to as hoteliers do, step up and be in a place where we can help the local community. whether it's firefighters, police, other matters, in terms of returning to normalcy to a level of operation. >> when this first happened and we hear of colleagues and friends and family looking for hotel rooms, you think hotels have got to have generators. i'm sure many of your properties do have generators. it's make iing you think maybe should have back-up generators for more of our hotels. >> majority of our hotels have generators. not all do, but majority of them do. particularly hotels that are going to be in areas which are going to face common problems.
what happens, of course, is that sometimes those generators don't work or access to fuels or other matters can sometimes get in the way of provideing service. the good news is there's only out of the 600 hotels, 34 that have diminished capacity because of lack of power, which is primarily the reason we would have to close or have significantly lower level of services offered to our guests. only 17 of our hotels were impacted. where there was major damage and it would be unsafe to have guests in those hotels. >> i'm always curious about how hotels manage a time of disaster. obviously, the business is about yield management. supply and demand. room rates go up. is there some sort of invisible line where a hotel manager, division manager, says we are going to top out at this rate and we're not going to gouge consumers more than that? >> well, it's always the safety
and comfort. second comes the normalcy of the business. we want to be a response to the community. we do have deadlines and po policies with regard to pricing. you'll find that hotels and hotel owners and managers are very gracious when it comes to these situations. they reach out to the community. we often are finding discounted rates being offered. particularly the first responders in the skas case of the holiday inn express in atlantic city, new jersey. they are housing emergency personnel first by offering discounted rates. so, this is not a time for commercial greed. it's a time to be a part of the community and provide response. >> good of you to join us. lumber prices of course limit up yesterday, jumping in the wake of superstorm sandy.
wooohooo....hahaahahaha! oh...there you go. wooohooo....hahaahahaha! i'm gonna stand up to her! no you're not. i know. you know ronny folks who save hundreds of dollars switching to geico sure are happy. how happy are they jimmy? happier than a witch in a broom factory. get happy. get geico. fifteen minutes could save you fifteen percent or more. so, dow's having quite a
rally. especially when their volume picks up going into the close. >> exactly, and technology is an area we're watching the apple and microsoft making big gains. starbucks is out with their earnings after the bell and we're going to talk about those long gas lines. is there a play in the refinery? because we've seen people in new york, new jersey suffering lining up at the gas lines. >> interesting. it's funny, the stories we thought were going to be stories coming out of the storm, the insurers and the homebuilders aren't really the action today. >> this is going to take a long time to get back together. >> we have inventories coming up. let's get to it. here's what you might have missed if you're just tuning in. welcome to hour three of "squawk on the street." >> something as a nation we need to really focus on both in terms of density of our populations as well as the infrastructure we have needs to be fixed. i mean, it's just old.
>> 158,000 for the month of october. if you take solar, do i believe that they are going to get to a place where they compete on their own? yes. do i also believe we're not charging all the pollution costs for more of our sources of energy? >> absolutely. >> malawi is not retiring. many thought was going to happen. he's done. i remember a period in 1988, 1989, where it was the question of who was going to rule the world. now who want to rule the world. >> there was obviously a lot of -- over the weekend, closed. >> below trend and not gaining
momentum, not really losing too much momentum. no voters. on tuesday, we will be ready to go. breaking news from the energy department. oil inventories. crude supplies by 2 billion barrels. we're also seeing gasoline inventories rising by 900,000 barrels and fuel supplies down by 100,000 barrel. a lot of analysts were looking
at the rise last week. we did see a decline and are looking at the price reaction as we speak. back to you. >> thanks so much for that. we are live here at the new york stock exchange to check on the markets with a big rally on our hands. especially given the fact that yesterday was so muted. the dow is up 148 points. that's off of the highs and we have not had a 1% gain on the dow since september 13th. the nasdaq up about 40. e retailers are some of the biggest burners. hot topic reporting a key sales measure did improve. aeropostale, american eagle and wet seal sharply higher. and saying amazon's future behavior towards subscription video will limit the valuation. that comes a day after carl ican
revealed the stake. then the coastal regions of the northeast still in recovery mode, but once they start rebuilding, how will lummer businesses be affected? plus, october, worst single month in four years. can the stock recover or is this the new normal? and hundreds of thousands of people still without power in new york and new jersey. folks from con ed will join us with the latest update to restore power in the region. the mayor of new york city, mike bloomberg, scheduled to give a briefing in about 27 minutes at 11:30. we'll start with the markets. art hogan joins us from boston. good morning to you. >> good morning. >> is this what you expected? china pmi decent. not sure if people expected 1% out of that. >> it's interesting. we've seen an improvement over the last month or so in the
economic ad calendar across the board. while that's happening, we're seeing real sloppy earnings season. the contradictions here are loud and clear. what i think we're seeing, the fact we went from june to september. since then, we're getting back about 4% on the s&p, about 6.2% on the nasdaq. we've had a bit of a correction into this earnings season and didn't expect better than expected numbers out of china for sure, but the consistency out of the improvement was catching everybody by surprise and probably portends something for tomorrow's job numbers. >> given the fact that not every trading desk is fully staffed, who know what is d order flow is like given what's normal. that niese numbers at the dow, even the s&p's may not be accurate, relative to sentiment? >> it's interesting that you point that out. when you try to figure out if
moves get exaggerated because we have less volume, that's certainly been true historically. low volume tends to move fol viola till ty volatility around more. continues to be constructive here. i also think part of the volume is going to be held back by the fact we're in wait and see mode for tomorrow's jobs number. for the election results next week. so even if we hasn't closed for a couple of days, volumes would be light this week and headed into next wednesday. i don't think the volume is the situation. i think we're just taught by surprise that the u.s. economy continues to improve while the rest of the world seems to be melting away. >> what do you think the intelligence is on tomorrow's jobs numbers. they've changed their models. revised some numbers last night. are you talking to people -- >> this is a tough one to call because adp did change the way
they calculate, so it's impossible to know if the correlations are going to be any better. i would say it's anybody's guess. as they head into tomorrow's number, consensus is 125. my guess is around 125,000. as we look at the trend on the jobless claims over the last month, but if they can get their act together, we can use it as a good precursor. this is the first time out with the new calculations, so i wouldn't give it a whole lot of weight. >> traders having to digest a whole bunch of numbers in the past few hours. thanks. see you later. get the capital markets today. gary comin ski is checking in. >> first, sandy. quick, $50 billion estimates
being put out there by the so-called experts. most people managing money have to think about these things. don't be surprised if it ends up being 100 billion. two, net net. obviously, it will help the building industry. we talk ed about lumber. we know about sales on generators, but at the end of the day, that discretionary spending is going to get smashed huge. do we think people are going to be out there buying ipad minis right now? no. i don't think anybody in the insurance industry is talking about this. a lot of people start paying their premiums. there are a lot of people in the northeast not current on their insurance preems. that could be a disaster. let's talk about stocks. much like we got at this time yesterday, a number of people think these early market buy orders are going to fade, so don't be surprised if we see this fade into the afternoon as we saw yesterday and a lot of
that has to do with the fact that nobody's making major bets until next wednesday. so again, no major bets in any portfolio until after the election. stay tuneded at 11:30. got some interesting stuff. finally, this is something i have a strong opinion out. i love the new york city marathon. i think and a will the of people have said this morning, that bloomberg has lost his mind. the idea to run this marathon this sunday, what is bloomberg thinking? the fact that staten island, one of hardest hit areas, they're going to put 50,000 people out there where most people have no electricity, running water, the source of what it is here and if you're watching us in california, the midwest, you probably don't get it. i think when you think about it, this may in fact if he goes ahead with this, be the biggest disaster of his entire 12 years. >> you're talking about draining the city of resources that could
be used elsewhere. explain the soul train screen behind you at your desk. >> that was the passing of don cornielias, somebody helped me put that up there and it's still up there. >> a nice tribute to an amazing man. that means we're going to watch you dance in the future. let's get a quick flash from bertha coombs. >> conway, the truck leasing company says it's too early to tell, but pre sandy on monday and tuesday, their volumes were down significantly and that is going to have an impact. 9 to 10% compared to same days in october last year. they're not sure how much they might see a pick-up following sandy as we see things start to pick-up and extra supplies start to come in. a lot of companies trying to sort that out.
>> yes, gm saying they're still trying to quantify how sandy may have affected the month. rick santelli also digesting a lot of data today. rick, what do you think so far? >> oh, man, i'm telling you, i'm going to need some pepto bi ssm. but it's light and i find it very fascinating. now, if we look at the headline ism number over one year and over five years and hopefully those charts are up there, you could clearly see, there's definitely some improvement, but we are firmly in a light growth scenario. you could see on the longer term chart that we come from higher levels. but it isn't really a horrible number. let's think about the issues of
the day. the election, our fiscal cliff. our neighbors in canada creating more jobs than us. maybe it's a c minus. maybe a d plus. whatever grade you want to give it, but it most definitely isn't recessi recessionary and i think that's good news. like many economists believe, is a bit out of faze and there's things we could do that would help the growth factors here. they're just heavily tied up in politics and maybe exactly one week from yesterday, maybe some of those head winds will be removed. now let's look into the data. what i found fascinating is when you look into consumer confidence, especially the question about employment, there was optimism there. but when you holook at the ism today, the employment component, it was down a bit and slightly above 52 if you go back to 52 a couple of months. that was a three-year low. so on the employment side, contrary to what was the best
part in essence of the confidence report, doesn't seem to jive. when you look at challengers today, that was a bit depressing on the layoffs. you see some of these big numbers of layoffs by large corporations. a lot of them in financial services, so it is somewhat of a mixed bag, which make iing the number more important, accuracy aside. back to you. >> well said, rick. see you in a few mince. up next, we'll get an update on the clean-up on one of the hardest hit areas and lummer prices jumping through the storm. back in a minute. customer erin swenson bought from us online today. so, i'm happy. sales go up... i'm happy. it went out today... i'm happy. what if she's not home? (together) she won't be happy. use ups! she can get a text alert, reroute...
back to business on wall street, but for surrounding neighborhoods, life in anything but normal. scott cohn has more with the story. we have all these cameras on the floor of the exchange. it looks like business as usual, but go outside, nowhere near. >> that's right. we're over on water street, carl. about half a mile from you. and the east river is almost a half a mile away from me. but take a look at something. you want to see how high the water got during sandy? that is the water line. that's how that that it got, so if you look inside if window here of this new york sports club, you get a sense of what kind of damage was done here and this is going on throughout the financial district. there was a great deal of flooding next door to this
place. a place called the new york's best deli. we got a look inside there. it was just a mess. they got about $100,000 worth of food lost, about a quarter million dollars worth of infrastructure and there is a question of whether this 20-year-old business will be able to survive. >> i have no idea, to be honest. we've been in business for 20 years. not been hit like this. not even 9/11. 9/11 wasn't this bad. >> and a look at another restaurant, harry's, sort of a wall street institution. it, too, got four feet of water and they are dealing with potentially tens of thousands of dollars worth of damage or possibly more than that. so, that's just the restaurants and the businesses there is some power coming back on in some sections of lower manhattan as they hope to get more and more of that going, but as they keep pumping water out of these buildings, it's going to prevent some from getting power perhaps from some time to come.
it's bad out here, carl. no other way of sugar coating it. >> then you get these headlines from con ed saying they expect manhattan to be back on by friday or saturday, but it's hard to envision that given the view right now. >> that's right. as they keep pumping, some places will get back, but if the buildings can't handle the power, then that's a whole other issue. >> thanks a lot. come back to you a little bit later. meanti meantime, lumber prices rising as people begin to think about building. doug is owner and president of kuken brothers, eight locations in new jersey. thanks for being with us. >> good morning, carl. >> i'm trying to put my arms around how you must be feeling. you've got a bunch of stores in the affected areas. i don't know if this is tough time ors boom times for you.
>> first, i think we have to think about the people who may have lost homes and perhaps businesses that may not come back. we're very sympathetic to that. we were sort of impacted, but mostly minimally. that said, we're still able to conduct business, but we're doing right now, about one tenth of the business we were doing just last week, so for us, it's a negative impact. but for the future, you know, lumber futures are up, but those are futures and sometimes, it doesn't necessarily catch up to the futures market that quickly. i think that this event is going to take a long time to flush through. you think about the homes along the beaches, down the shore having lost their foundations. others that have gone for good. not sure that towns are going to just allow them to rebuild instantly. they're going to rethink they're building codes. it's going to play out over time. it's not going to be an immediate impact. >> i guess that's one thing that will be different, isn't it?
the idea that you can't just start getting nails together and wood a couple of days after the rain. >> exactly. unless you're trying to patch a hole in your roof, plug a hole in a window, put a new window in. that's the things we've been doing, selling some tarps, putting a roof in. >> what would your advice be to cities? you talk about the degree to which zoning changes. do people need to rethink the idea of living so close to water in the northeast? >> well, i think that's a personal choice. i do think the history proves people always tend to go back to the beach. it's a beautiful place. living in new jersey by whole life. i love it myself. so, i think it's going to take some time. people will decide not to do it and others will decide to do it. again, it's a personal choice. i think the towns will take a look at codes and what they'll allow. a lot of the homes that lost their foundations were built 40,
50 years ago according to today's codes, they wouldn't meet today's code. >> a lot of our audience probably interested in how you approach a situation like this as a manager. how long, whether or not you can prepare for this in terms of cash flow rediness. were you able to establish a set-up that will get you through a longer recovery period? >> yes, fortunately, we're 100 years old this year. family business. conservatively run business. financially, we're fine. honestly, we look at the safety of our people and facilities and surrounding neighborhoods and try to help out where ever we can. make sure people are safe. we have some computers up and running at certain stores and other stores are not. they're still in the dark, but we're able to make phone calls and trans act business to the extent we're able to at this point. >> doug, you have an extraordinary few days and weeks
ahead, probably months. >> we do and you're quite welcome. >> market's holing on to those triple digits and the mayor speaking in about ten minutes, we think. don't go away. ♪ ♪ ♪ [ male announcer ] some day, your life will flash before your eyes. ♪ make it worth watching. ♪ the new 2013 lexus ls. an entirely new pursuit.
absolutely. and these always series as an under taker. so, 50.2 is the call on the ism in china. the traditional pmi and where did it come out? >> 50.2. that's pretty remarkable in a country with multiplespopulatio backwa backward. so, it isn't me. i am a bit cynical, but traders aren't really buying it, are they? >> a country where they, it's my
criteria. you won't allow google in because you're afraid of the free fall of information. why should i believe ever the free flow coming out? it's just -- i take everything there with a major grain of salt. i'm just amazing at the markets given as much credibility because we have to pay attention. >> and more so now than other periods because there's this big change of leadership going on, which is a very slow moving task that started basically nine months ago. and i think when you look at the slowing gdp number, which are much smaller in the 7s. they used top in the 10s and 11s. >> still potentially for the most part, that from the bottom up, the plan. the only place i've ever seen making numbers like that was ge under jack welch. it was amazing how they hit the numbers. >> which came first to managed
earnings. >> let's switch gears. go to cameron in the u.k. the issue is, is the longevity of being the central financial force of europe in question as they pull away from the participation in new commonweal commonwealth? >> leon russell's tight wire. he's up on that tight wire because he's trying to balance everything out and london, if london makes the wrong step here, they're going to blow themselves up as the financial center of europe. he wants to be a euro file so to speak. they're on the labor side of the aisle, so he's got to walk a very difficult line. and if you don't think that berlin is looking at grabbing, because what they're missing, the germans are certainly becoming the major force within europe. they're missing frankfurt at the
financial center. he has to be very careful. >> it's not only the antagonistic approaches, it's within their own parties and torrey has their own odds. carl, back to you. >> thanks, guys. market still in rally mode. we'll get more on the day's session. find out if these buy orders are really coming from overseas as garl suggested. plus, find out why these lines are becoming a common occurrence in the days followi ining sandy. back after a break. eligible for medicare?nno] that's a good thing, but it doesn't cover everything. only about 80% of your part b medical expenses. the rest is up to you. so consider an aarp medicare supplement insurance plan, insured by unitedhealthcare insurance company. like all standardized medicare supplement plans,
they help save you up to thousands in out-of-pocket costs. call today to request a free decision guide. with these types of plans, you'll be able to visit any doctor or hospital that accepts medicare patients... plus, there are no networks, and you'll never need a referral to see a specialist. join the millions who have already enrolled in the only medicare supplement insurance plans endorsed by aarp... and provided by unitedhealthcare insurance company, which has over 30 years of experience behind it. with all the good years ahead, look for the experience and commitment to go the distance with you. call now to request your free decision guide.
two hours into trading, 8:30 on the west coast, 11:30 on wall street as the dow rallies. microsoft up more than 2.5%. pfizer is the biggest loser. ism rising slightly with a let berth than expected october reading of 51.7. second consecutive month of growth and the conference boards, consumer confidence up by almost four points. the heist level sifebr
of 2008. let's get a check on what's moving here at the big board. bob pisani joins us at post nine. >> and a nice little rally. let's look at the dow jones industrial average. we haven't had a move up like this, 144 or so points. best day we've had in a long time t more importantly, this is a one-month chart. breaking out of a range here in the last six or seven days to the highest level. so we do keep track of these things. let's look at why we've been moving today. several important points here. take a look. first day of the month, that always brings in new money. doesn't necessarily translate into higher prices. though it does bring in new money here. just want to show you what's going on with the chart on the first day of the month. ism was strong, a big help. europe was on the upside. consumer confidence is improving.
jobless claims are going nth right direction, if not dramatically, slowly moving to the downside, a so a few points have been helping. you think these stocks would be exhausted after the while. we've been playing them for a week. if you got in a week ago, you're in good shape, but they're up again today. armstrong world, this is flooring. good earnings report. they're a cost cutting giant. owens corning, i've been talking about beacon for a week now. it's up about 9%. treks makes come ppcomposite fl. the stocks just seem to keep moving on as i think a lot of people realize it was a little worse than anticipated. speaking of sandy stocks, if you want to call that, boyd gaming, partial owner of the borgado,
forget hurricane sandy. revenues were down in atlantic city. of course, they got the new rebel there. the competition opening for them, but in the midwest, it was a little tougher and they had problems with irene, so that was their earnings report. we'll get more information. homebuilders continue to improve. if you look at mdc holdings here, one of the big midwestern homebuilders, they're based in denver. new orders up 69%. we've seen new records anywhere from up 25%. this one is the highest i've seen, up 69%. that's the most important metric and again, we are getting improvement, but numbers are half what they were in 19, in 2006. but it's a number, the slope is still upward. >> trajectory's good. thanks, bob. >> let's get a market flash on rim. bertha? >> hey, carl. rim today had a four-month high,
up by nearly 9%. 150 carriers are now texting blackberry 10, a critical step before the roll out. my blackberry, we saw verizon work fine in lower manhattan. not as good for my iphone, which uses up more bandwidth. one of the biggest issues post sandy is finding gasoline. lines in new york and new jersey are sometimes more than 100 cars deep. mary thompson is live at one of those. >> we're here in ridgefield, new jersey. if you were entering this rest stop, anyone who drives along the turnpike know this is one. if you enter from the north, you'll wait in line maybe 25 minutes. from the south, your wait could
be longer. clearance thomas told us he waited for two hours. >> it's been horrible. lines long everywhere. ran out of gas once. survived it. got back on the road. then got up early this morning, like 7:00, get over there to get gas. >> the lines began forming in new jersey and on long island yesterday. a lot of gas stations in these areas aren't open because they don't have electricity and some have run out of gasoline though some are still selling diesel fuel. the supply chain disrupted, too, making a bad situation worse. a number of terminals here in the new jersey, long island area, they're damaged or without electricity. they can't take in supplies or fill up fuel trucks or deliver. one solution, trucking fuel in from other states and getting to stations like this one, the vince lombardy, that are operating. of course, it's only a partial
solution, so until power is restored, expect the lines to continue. if you're looking as far as what's happening with the prices here, vince lombardy, you're going to pay about five cents more than the average national price of unledded gasoline. right now, it's all the way up to 6.65 here in new jersey. back to you. >> thank you so much. meantime, do not adjust your television. this chart you're about to see the correct. microsoft is actually outperforming apple over the last week. we're ging going to find out if this is a trend that might continue in the long-term and if so, what you might do about it. when we come back. treatment for low t, undem can restore testosterone levels back to normal in most men. axiron is not for use in women or anyone younger than 18. axiron can transfer to others through direct contact. women, especially those who are or who may become pregnant, and children should avoid contact where axiron is applied as unexpected signs of puberty in children or changes in body hair or increased acne in women may occur.
report these signs and symptoms to your doctor if they occur. tell your doctor about all medical conditions and medications. do not use if you have prostate or breast cancer. serious side effects could include increased risk of prostate cancer; worsening prostate symptoms; decreased sperm count; ankle, feet, or body swelling; enlarged or painful breasts; problems breathing while sleeping; and blood clots in the legs. common side effects include skin redness or irritation where applied, increased red blood cell count, headache, diarrhea, vomiting, and increase in psa. see your doctor, and for a 30-day free trial, go to axiron.com. try running four.ning a restaurant is hard, fortunately we've got ink. it gives us 5x the rewards on our internet, phone charges and cable, plus at office supply stores. rewards we put right back into our business. this is the only thing we've ever wanted to do and ink helps us do it.
our special coverage of hurricane sandy's aftermath continues with a developing gasoline crisis. we've got several experts tell us how long it will last, how bad it's likely to get and the pse&g ceo tellses us when it will restore power to new jersey's nearly 2 million cu customers still in the dark. all that and more in about 20 minutes or so. >> busy day, thanks a lot. we're waiting for mike bloomberg. expected to speak any moment. as soon as he comes to it, we'll take that live. apple investors have never been so spooked. shares of apple fell nearly 11%. in object. that is the largest monthly loss of any month since november of 2008, when it fell 13.9.
so were investors freaked out by the ipad mini or could it have something to do with the iphone and hurricane sandy? will, ed, managing director for csla, he joins us on the phone. will, what do you think the issue is right here? >> well, good morning. you know, i think there have been a number of concerns. i think a lot of it has to do with the pace around innovation. i think the latest management shame up is causing uncertainty. as we look at the stock here, you know, if there's fear in the water, it's probably a good buying opportunity, so we like the stock at these levels. >> what was your take on forestall versus -- my initial impression was that johnny was seen as a natural creative heir to steve jobs. why would people be concerned if he was taking over design overall? >> again, there is still an area of uncertainty. one of the key lieutenants to
steve jobs and obviously, been one of the key architects for the ios operating system. i think that level of security is causing con stern nation. >> and there's been a lot of discussion. all the closet index funds that we have been tracking, they seemed to have topped out. their ownership of apple became too top heavy to sustain. do you think that's what sort of changed this trajectory somewhere late in the summer, early in the fall? >> that could have been a contributing factor. at the end of the day, really, the elephant in the room is questions around innovation and can they continue to innovate as quickly as they have in the past? both in terms of device factors and software? it's going to be on apple, continuing to innovate price and
software. probably gets a lot more doiflt to make a leaps and bounds. >> and finally, will, in your view, has the ipad mini been a confirmation of their ability to innovate or is is it too early to tell? >> i think it's probably too early to tell. but as a margin, helps them further segment the market. for them to really invait, they need to continue to open up new market opportunities. that's what it take, something like i-tv or products they're currently providing. >> all right. we'll keep an eye. when it gets below 600, it starts to raise eyebrows. for the microsoft side, ed mcguire. good to have you. >> good morning, how are you? >> good. you got a buy. you got a 38 target. there's been skepticism ahead of windows 8, but some said all the
critic es and nay sayers were underestimating the sticking of enterprise. is that what's going on? >> i think that's part of it. if you look at microsoft's business model, there is a high degree of recuring revenues. really improving their visibility there, but i also think there's been a second look at the stock given the launch of windows 8, windows phone 8 and surface all together and there's certainly a lot of innovation on display there. >> yeah, what was your take on the surface? i remember when vollmer was on our air the morning of showing off the bells and whistles. there were a couple of people here who were impressed. was that the view widely felt? >> sure. i think the fore factor is really impressive. i've been playing one the last week as my power's held out. in some ways, it's a bit of an
infur rating experience because there are new apps, but overall, it's a very well designed piece of hardware and does show off the capabilities of the software. it's definitely not an ipad or an android knockoff. >> we've watched for so long, try to break 30. we're at 29.37 today. the moment that happens, if it happens, is going to change some people's minds, but i wonder with a 38 target, when do you think we start to get past that psychological barrier? >> well, a lot of this is going to depend on how windows 8 tracks and i think part of what has helped the sentiment over the last week is seeing what the oems have been doing. there's so much negativity associated with the supplies. that has on outside impact on the stock. so if we start to see a pick-up in the pc and some decent traction from windows 8, i think that could be what it takes to
push the stock over the 30 level. >> that's going to be key. obviously, it hasn't quite gotten there yet. thank you for your time as well. >> thank you. millions of residents in the northeast still without power. we're going to talk to con edison next, plus, we're awaiting mayor bloomberg. back in a moment. wooohooo....hahaahahaha!
oh...there you go. wooohooo....hahaahahaha! i'm gonna stand up to her! no you're not. i know. you know ronny folks who save hundreds of dollars switching to geico sure are happy. how happy are they jimmy? happier than a witch in a broom factory. get happy. get geico. fifteen minutes could save you fifteen percent or more.
dow hanging in there. up 152. millions of people still in the dark. we want to get an update on the power restoration. con ed serves new york city, most of westchester county. al mfon sew is a spokesperson for con ed. we've had all too many opportunities to talk over the last few days. welcome back. >> thank you very much. >> made a lot of people happy when the headlines crossed. can you be more specific? >> sure. customers who are served by underground manhattan, i'm sorry, underground electrical structures in manhattan and brooklyn will be up about saturday morning and overhead wires, back up at least a week, probably more than that.
>> so, underground, most people in the city of manhattan. >> those customers served by underground, they will be back up by about saturday. we're excited about that. we've got a lot of crews out there working. the big issue we're seeing now in terms of the damage is that there's a tremendous amount of flooding. what our crews are doing are pumping out water from our equipment and after they do that, then they have to dry them off with fans. pump more water out. they have the clean the equipment of all salt water and have to start replacing equipment if it needs to be replaced. this is the same process that's taking place in hurricandreds o locations through the new york city. the issue with saturday is that we will have our power by saturday. however, if a building and we're
finding this in many locations, has extensive damage to their own equipment and basements, they will still be out. we've been sending our crews out is that some buildings have basements and sub basements in some of these skyscrapers and many of their equipment is still submerged. we can't even get to it. the engineers in the building can't even get to it, so what we have to do in those cases, we have to take them off the grid, so that we can restore more of the customers within that specific neighborhood. >> yeah. let me ask you -- >> just because we're sag that our power's going to be back up saturday, there are going to be many buildings who aren't going to have power because their internal network is not working. >> sure and forgive the layman question here, when we're talking lower manhattan, is this a matter of one magic switch
being pulled or is it going to happen in zones? >> it's never as simple as one switch. it will be gradual, but we're hoping most customers will be up by saturday. the priority customers come first. hospitals, schools, senior citizen centers. then we isolate the equipment feeding the most customer first an then slowly go down the list. >> i got you. does having the subway service come back, does it help? hurt? is con ed indifferent? >> well, we don't run the subway system. so, we, that's certainly not something we're going to comment on, but it's something we want to see up. >> the marathon's going to run sunday. i know this is not exactly your universe, but some say it is disruptive to the recovery of the city.
does con ed have a view? >> no. >> so, saturday morning is what people to know with the caveat that your own building might be one impediment. >> that's right. >> thanks so much for your time and all your help over the past few days. appreciate it. >> thank you. >> markets still hanging on to those triple digit gains. we'll get a traders take on the sessions and the mayor, still waiting for him to speak in manhattan. we'll be right back. up your game. up the ante. and if you stumble, you get back up. up isn't easy, and we ought to know. we're in the business of up. everyday delta flies a quarter of million people while investing billions improving everything from booking to baggage claim. we're raising the bar on flying and tomorrow we will up it yet again.
we're going to bring everyone up to date on the city's continuing recovery. we are taking new steps, working with governor cuomo and other state elected officials. and city officials. the federal emergency management agency and nyc service to provide food and water to whose most in need. i'm going to be after this update, joining governor cuomo and janet napolitano at the manhattan entrance of the hugh carey brooklyn battery tunnel. we're going to survey the damage there and discuss next step for the recovery. there are people who are now transitioning from shock to the real world of problems of how do you get water and food and we're working on those and we'll talk about that in a little while. we have found a few more deceased and once again, our r hearts go out to them. but we've got to recover for their families and make sure
that the city and those they left behind have a future. today, our police officers and firefighters continue carrying out their life saving mission, going r door to door searching for those in need of help. the grim reality is that in the process, we find more victims. at this point, we know sandy took the lives of at least 37 new yorkers and let me caution everyone listening or watching that this conference as the first responders continue their rescue and recovery, the number may continue to rise. the full toll of hurricane sandy on new yorkers is still emerging. our hearts are filled with sorrow for those who lost their loved ones and our hearts are filled with pride at the same time of the work our brooifest and finest are doing. both can go on at the same time, our ability to grieve, but also our ability to thank those who are going the extra mile and congratulate them.
i think the best way to express the sentiments of something yesterday, i was with city councilman vincent and jimmy otto and visited tottenville and we went in and talked to some people about their house, their aspirations for the future. substitute teacher waiting for a permanent position in our school system. while we were deceased, just three doors away, a family lost their lives. we were able to talk about what we need to do to continue, giving our citizens the opportunity we want for them. today, we're taking new steps to prevent further suffering from sandy as the days go on and many people are in hard hit areas including publicity housing need
fresh water and food. so today starting at roughly 3:00, we will begin distributing thousands of bottled of water and thousands of preprepared meals in a number of locationed in hard hit areas. this will continue until 6:00 today and resume tomorrow at 6:30. saturday and sunday, 9:00 to 1:00, but we are going to have to work out some procedures to make sure people can get food. some will have their lek tris thety back and they'll be back to a roughly normal situation. the stores will be open. they'll have food and they'll have elevator service and that's fine, but then there are some who are clearly going to be in buildings where getting them back and getting electricity going is much more problematic and we're going to have to find some longer term solutions to this. our focus now is taking care of the immediate needs of everyone and some of that of our
resources will be able to be devoted to longer term as the subways get back and lelectriciy comes on. we've given out a half a million flirs in english, spanish and chinese including coney island, chinatown, rockaways and the elected officials standing with me today will also help us get the word out in those communities. locations are posted at nyc.gov. a lot of people don't have electricity, so they can't go on the internet, but some can do it for them. each person we're able to take three meals and five bottles of water home from the staging areas. people should bring their own bags for the food and water if possible. speaker christine quinn and her council worked with us on the affected communities as well as speaker silva. in fact, this operation involves
strong cooperation and i particularly wanted to think the state department of health and u.s. department of housing and urban document for their work. there will be some 400 members of the national guard and 150 nyc service volunteers involved in this effort by going door to door, taking meals to home bound residents. some are up in high buildsings and would have a real problem in coming down to the ground. problems are making sure they know there's food available. we do that by knocking on the door and sticking fliers underneath, but also, we've got to get food to them. we do that the old fashioned way. pick id up, walk up the stairs and hand it to them. i wanted to thank the salvation army and supplies were delivered by the federal emergency management agency in coordination with the office of emergency management. many individuals have made generous offers to support this